The deal includes Luxtor’s long term contract for the supply of cheese to Telepizza, one of the world’s biggest pizza chains. The deal was made via the newly established entity Irish Dairy Board Espana.
The IDB said the move would strengthen its position as a global provider of cheese to quick-service restaurant and foodservice sectors and complemented similar investments made in US and UK customised cheese solution businesses.
Open up opportunities
It would also provide an immediate route to market for Irish dairy products and opened up further opportunities for Irish dairy products in the wake of the EU milk quota removal in 2015.
It would also provide a welcome boost to business as the wider dairy market grapples with the Russian ban on EU dairy products and plummeting milk prices.
''In-line with our growth plans to make a strategic investment in Southern Europe, a milk deficit region, we are very pleased IDB Espana has acquired the trade and assets of Luxtor,” said Kevin Lane, ceo of IDB, which owns brands such as Kerrygold and Pilgrims Choice cheese.
Growth strategy
Lane said the announcement was in keeping with IDB’s growth strategy to invest in milk deficit regions.
“IDB Espana will provide expert cheese solutions for the pizza sector that complement the cheese solution technologies we continue to develop in our other international businesses.
“Its central location will provide a trading and sales hub to service our growing Southern Europe customer base. And importantly for Irish farmers, it will be an immediate route to market for Irish dairy products with further growth post 2015.”
The IDB is an agri-food commercial co-operative which markets and sells dairy products on behalf of its members, Ireland’s dairy processors and the Irish dairy farmer. Based in Dublin, it has annualised sales of more than €2bn (£1.6bn) and employs 3,000 people globally. It develops bespoke food ingredient services for many of the world’s major food manufacturers.